In 2019 alberta based corporationgrowth has $88,000 in taxable income and alberta based corporation has $8,800,000 in taxable income . a. What is the tax bill for each b. Suppose both firms have identified a new project that will increase taxable income by $10,000 . (how much additional taxes will each firm pay) (is this amount same ) (if not,why )

In 2019 alberta based corporationgrowth has $88,000 in taxable income and alberta based corporation has $8,800,000 in taxable income . a. What is the tax bill for each b. Suppose both firms have identified a new project that will increase taxable income by $10,000 . (how much additional taxes will each firm pay) (is this amount same ) (if not,why )

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

This lesson is under non-financial liabilities.
ABC Corp operates in the city and would besubjected to the following taxes: i. Federal corp income tax-surtax 26% and normal tax 22% ii. State Franchise tax-72% If income before taxes for 2018 was $370,000 per the federal tax return (after establishing estimate), assuming the rates as noted above, the tax liabilities that should be set up are Federal and State, A, $180,000; $25,000 B.$177,600; $29,700 C. $165,500;$20,000 D. $171,000; $30,000
The accountant for Lajamanu Production Ltd has the task of preparing the deferred tax entries in the year-end financial statements at 30th June 2022. The company has been expensing research in a new product for a number of years. The directors are now of the opinion that the product will have a viable market and that further expenditure can be capitalised as a development asset. With this in view $160,000 was expended on 1st July 2021. It is believed that this expenditure will be recovered over a five year period and is to be amortised on a straight line basis at 20% per annum. The project does not qualify for any accelerated tax deductions over and above the full cost incurred. Required As the accountant has only recently been recruited you have been asked to complete the preparation of the journal entry adjustments for any temporary tax differences and to explain in each of the situations given above the reasons for the adjustments, why the accounts have been chosen…
XYW Corp., a Domestic Corporation, registered in 2010 made available the following financial information for taxable year 2021: Balance Sheet: Asset - Php 500,000 Liability - Php 100,000 Stockholders' Equity - Php 400,000 Income Statement: Gross sales - Php 100,000,000 Cost of sales – Php 60,000,000 Operating Expenses - Php 30,000,000 How much is the excess MCIT which can be carried forward in 2022? Consider CREATE Law Choices: Php 800,000 Php 2,100,000 Php 400,000 Php 0
A retailer has a gross sale of P1,400,000 with cost of sales of P560,000 and allowable deductions of P150,000 November 2021. Its total assets of P180,000 as of November 30, 2021. Corporate Tax Rate is 25%. If the company can realize 25% increase in its gross sales for December 2021, what is the possible tax implications?
A firm pays $22,000,000 in compensation to its 401K participants in 2021. What is the maximum tax-deferred contribution the firm can make in 2021? (Round to the nearest whole dollar)
The tax rates are as shown below: Taxable Income Tax Rate $ 0 - 50,000 15 % 50,001 - 75,000 25 % 75,001 - 100,000 34 % 100,001 - 335, 000 39 % Your firm currently has taxable income of $81,600. How much additional tax will you owe if you increase your taxable income by $22, 800 ?
Jackie Company is an FIRB-registered enterprise. Following is its financial performance for a five-year period. Assume all are earned/incurred evenly for each year. Assuming it is a Tier 1 domestic enterprise which started its commercial operation at Pasig in 2023, how much is its income tax payable for 2032 assuming the use of SCIT?
The tax rates are as shown below: Taxable Income $0 - 50,000 50,001 - 75,000 75,001 100,000 100,001 - 335,000 Tax Rate 15% 25% 34% 39% Your firm currently has taxable income of $80,700. How much additional tax will you owe if you increase your taxable income by $21,900?
(Corporate income tax) Meyer Inc. has taxable income (earnings before taxes) of $300,000. Calculate Meyer's federal income tax liability using the tax table shown in the popup window: What are the firm's average and marginal tax rates? The firm's tax liability for the year is $. (Round to the nearest dollar.) Etext pages 2 W S mmand X Get more help # 3 80 F3 E D C $ 4 ODD 988 R F % 5 V FS T G 6 B MacBook Air F6 Y H & 7 F7 U N * 8 J PIL 1 M ( 9 K MOSISO DD F9 O ; FW1 { + [ option ? "1 1 Question Viewer 41 FYZ } delete return
What is the income tax due if X corporation is a regular domestic corporation? P75,000 P60,000 P50,000 P25,000
Qalvin Corporation, a MSME, reported the following gross income and expenses in 2022: Philippines Abroad Gross income P400,000 Deductions P300,000 200,000 350,000 Taxable income P200,000 P150,000 P350,000 Compute the income tax due if Qalvin is a Government-owned and Controlled Corporation. Total 150,000 P700,000